Financial ratios for assessment of operations success in e4nterprises of Macedonian hospitality industry
Financial ratios for assessment of operations success in e4nterprises of Macedonian hospitality industry

Summary/Abstract: This article is focused on issues related to operating efficiency and effectiveness of hospitality industry in the Republic of Macedonia. For that purpose, financial ratios for assessment of operations success in hospitality industry will be analyzed. Financial ratios are measures of operating efficiency in the use of funds of enterprises. They show whether the available capacity of enterprises is properly utilized and whether assets are effectively managed. Indicators of efficiency of operation bind the income statement and balance sheet and associate relationship workload of the enterprise and the necessary funds for its maintenance. Higher values of these ratios indicates that operation of the enterprise is more efficient. The trend of these factors can serve as a guideline for planning of the increased workload or additional capital investment. In contrast, the trend of declining indicators of turnover of assets indicates that enterprises had not sufficiently exploit their facilities, or has a lower efficiency of use of funds, leading to a drop in profits.The results of research in this paper show real trend of financial ratios in hospitality industry in the Republic of Macedonia for the analyzed period, due to different factors. For better operating results of those enterprises there are measures that should be undertaken in the forthcoming period on micro (enterprise) level as well as on macro (industry and national) level.

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